Paying house rent with bitcoin is it appropriate?

[Baghdad]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

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[highalch]

Why would it be a financial mistake to ever spend bitcoin?

The point here is that you have a place to store your wealth without the risks of holding a hyper-inflating currency. And you have the option to "debank" yourself in Argentina. It gives more options and more freedom. Nothing wrong about it.

[Nwada001]

Paying house rent with bitcoin is a good thing and not a bad idea. You are using the current value of bitcoin, both in price and market value, to determine what you are going to pay for, and I don't see anything wrong with that.
 
Paying with fiat in the same amount total and also paying with bitcoin is still the same thing, provided that you and the landlord have a mutual agreement. If you have some bitcoin to spend, you can just pay it and let go, and you can always convert that fiat to bitcoin anytime you want and hold it as long as you want.
 
Mind you, there is no guarantee that the bitcoin price will keep its value as of when you pay the money, and till that time next year, the price might double, no doubt, or the price might also drop in value, which the landlord might be recording some loss if it has not yet sold out.

[franky1]

depends how it is done

if you sell high buy low (accumulate via shorting your own stash(no margin no leverage no futures)) you can pay with the excess gains while retaining the main principle
also some people in argentina may have relatives working in america where the american relatives work for fiat. convert to btc and remit btc to their argentinian relatives landlord


however if you are a bitcoin investor and if you are doing the opposite of DCA where you are just depleting your stash each month. then not so much a good plan

[kryptqnick]

If Bitcoin is used as money and treated as money, that presupposes active exchange of Bitcoin for goods and services. So paying the rent with Bitcoin makes sense from this perspective, and there's nothing bad about it. I think I'd be down to pay my rent in Bitcoin if it was accepted, but it's not, so I use fiat for that. Allowing monthly rent to be paid in Bitcoin can be a step toward accepting Bitcoin as legal tender in Argentina. It makes people more used to the idea of Bitcoin as a type of money, and it's beneficial for landlords if not tenants. Actually, it can be good for tenants, too, if it motivates them to adopt Bitcoin wider and to accumulate it regularly, instead of doing that with fiat.

[Helena Yu]

Why not? real estate price is always increase too.

Since the government ask the citizen to declare their total holdings, if not they will need to pay bigger tax, I guess this makes him want to spend his coins.

I guess this is just a diversification, that's fine even though he can't maximize his profit during the new Bitcoin's ATH.

The monthly payment under the sealed contract will equal $100 in Bitcoin. The tenant will transfer the funds monthly through Fiwind, a local crypto platform. The report highlights that both counterparties to the contract are experienced crypto users.

The government has also eased the path to legalizing crypto holdings even if they’re overdue on tax declarations. Under the framework of a regularization scheme, taxpayers would pay a flat tax on assets of 5% if they declare holdings by the end of March 2024, 10% from April and 15% from July until the end of September.

[sokani]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

People buy houses, buy cars, book hotels, pay for flight, pay for cruise, pay tuition fees in Bitcoin. So why would paying house rent in Bitcoin be a financial mistake? Bitcoin is a medium of exchange and can do what fiat does. Choosing to pay the landlord in bitcoin will not make the tenant go broke or make him not accumulate more Bitcoin for himself. It's very likely the tenant earns in Bitcoin and also I think the purpose of news is to encourage people to start accepting cryptocurrency in the country.

[Adbitco]

It is a matter of choice whether the both party agreed to receive payment in fiat or bitcoin the major problems should be that since bitcoin is not legalized over there let it not lead into problems maybe who knows if it was prohibited over there or not. I don't care whatever someone uses his bitcoin to do, bitcoin is meant for spending and it's serving it purpose and no one should held down for spending their bitcoin and if i may asked do you know how much bitcoin is in his possession? Someone may have some thousands of bitcoin and decides to be spending them whenever or however he wants without anyone limiting him.

[Learn Bitcoin]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

If you think this is not appropriate, how do you expect a massive adoption? Isn't it too simple a thing? If no one pays using Bitcoin, your Bitcoin will stay in a wallet and there won't be an increase in demand. I have said this many times already in several threads. If people do not use Bitcoin to pay for their regular expenses, why would some companies adopt Bitcoin?

Tesla started accepting Bitcoin a couple of years ago, I don't know if they stopped accepting Bitcoin or not. But let's say they still accept Bitcoin but nobody paying them using Bitcoin. So, what is the benefit of that adoption? This is the simple thing people have to think about.

[AprilioMP]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

Where did you go wrong paying for your house with Bitcoin? Bitcoin is a type of currency with an electronic system so it is not wrong if people use Bitcoin to spend it, such as paying for a house or other payments like currency.
To me people paying for a house using Bitcoin doesn't sound strange and isn't like a mistake because they use Bitcoin as a currency function.

Still the same, for me Bitcoin is an alternative currency so there is nothing wrong with people spending it. Because Bitcoin is an asset that is able to maintain a hedge, so for users who use it as an investment asset it sounds like a mistake if someone uses Bitcoin as a means of paying because it can still be done to pay for a house using fiat currency.

My conclusion is that they are not wrong in using Bitcoin to pay for whatever they need with Bitcoin because Bitcoin is a currency that can be used as an investment asset for those who want to expect profits when the price experiences a large increase.

[legiteum]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

Well, putting aside that Bitcoin is a volatile asset that can also go down in value as well as up, the question would be, "what problem would this solve"?

In other words, how would this be any different than converting your Bitcoin to the sovereign currency and paying with that instead--something that could be accomplished in a few minutes?

In the real world, Bitcoin is an investment, not a currency. For transactions, no cryptocurrency can even remotely rival the efficiency of the worldwide credit card and banking system, let alone a pure digital currency specifically designed for efficient transactions.

[gunhell16]

That depends on the landlord if they are Bitcoin lovers or enthusiasts. And the tenants he will hire must also know about the Bitcoin concept; if not, I think it will be more favorable to the house renter for sure.

That's why they only run into problems when there is congestion in the Bitcoin network. Maybe when there is such a congestion problem with the transaction fee, it is possible to pay him temporarily in cash for his house rent. So, therefore, this method is good because the landlord of Bitcoin can accumulate Bitcoin.

[Orpichukwu]

I hope this house rent payment in Bitcoin will not lead to a similar case of . A man buys a Ferrari with bitcoin and gets an 18-month prison sentence.

The guy in question enters into a business agreement with someone paying a large sum of money in bitcoin, which the seller did not exchange immediately. After some time, she noticed the price was reducing, was taught it was fraud, and decided to file a law suit against the buyer.
 
Unless the landlord and the tenant reach an agreement that whatever the value and price of bitcoin turns out to be tomorrow, it will no longer be the concern of the tenant, as the landlord will be responsible for both the profit and loss that will come afterward.
 
We should look at this before talking about whether it's right or wrong to pay rent in bitcoin.

[Pmalek]

I don't think it's a mistake. Especially if the person works for bitcoin or has a significant stash of it. Converting it to fiat would lose them a few percent, that's usually the case. If you are thinking about not spending your bitcoin because the price of it will increase in the future, you could find yourself in an endless loop where you never spend any coins expecting a higher and higher value.

I am guilty of saving too much of my bitcoin myself, but if no one was willing to spend it, it wouldn't look good and interest might drop, and with it, the price.

[Z-tight]

I hope this house rent payment in Bitcoin will not lead to a similar case of . A man buys a Ferrari with bitcoin and gets an 18-month prison sentence.

This case is different, BTC and other digital assets are banned in Morocco and that is the region where this happened, the man who was sentenced to prison was also accused of a separate fraud charge as can be found in the link you shared.

Unless the landlord and the tenant reach an agreement that whatever the value and price of bitcoin turns out to be tomorrow, it will no longer be the concern of the tenant, as the landlord will be responsible for both the profit and loss that will come afterward.

In this case BTC is legal in Argentina and their new president is also pro BTC and crypto. The landlord and the tenant in this case have also entered a rental agreement, so it is a sealed contract.

[blckhawk]

I don't think appropriate is the right word, what I think it should be is available since there's the implication of options but to me, I do believe that it's a bit difficult to do that anyway, I don't think paying your rent with bitcoin is going to do you any favor, bitcoin is almost like an asset already so I don't think that it's a good idea to use it for your rent, you'll only going to make the landlord more richer than you and you will end up with nothing but regret when the price starts going up so word of advice, don't do it.

[yazher]

If I were the landlord, I will gonna accept it because that's one thing to have when you want to convert some of your money to bitcoins and you don't need to worry about converting anymore seems the tenant has already done it for you. Most of the people who have such luxuries in their lives are capable of not using the rent payment forever because they have multiple sources of income and they can just simply use the other sources to fund their essential needs in life and continue to accept Bitcoin payments from tenants and I'm sure not all of them will be able to do that and they can still accept fiat from others as well if they really need it to.

[348Judah]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

What if that same bitcoin you're having is going dip in the market price after which the payment is being made, am sure what you will use in making payments for your house rent will be lower to what your portfolio contains, are you not using the same bitcoin to exchange it for fiat with the same worth of value in USD, this is more of a decision on wether the landlord wishes to accept bitcoin payment or not, while on either of his decision doesn't affect you for any reason, remember that bitcoin is a volatile cryptocurrency, while you hodl, it can rise and fall, same as well after you make a payment with it.

[Abu-Naim]

Glancing through the article https://cointelegraph.com/news/bitcoin-rent-agreement-argentina-landlord-tenant one would conclude adoption is striving in Argentina. Paying for a house with bitcoin sounds to me a mistake or lack of financial knowledge. Bitcoin is better than Fiat. Bitcoin increases in value and fiat faces inflation. Why then would one spend Bitcoin instead of fiat on a house rent which may expire in few years? Accommodating the Bitcoin can birth the person more money to pay his next house rent. But fiat wouldn't add any interest in the bank. Moreover the house owner will not hold the Bitcoin.

Using bitcoin to pay for house rent is not a financial mistake, it is almost the same as paying with your local currency because they both have same value as at the time of spending them. What if you only hold bitcoin, how can you pay your rent? Are you going to convert the bitcoin into fiat before paying your rent or you will rather spend the bitcoin you have?

I am not seeing this scenario as a bad action on financial aspect, the landlord might not even hold the bitcoin for long, therefore it is not a bad idea because we can only spend what you have be it bitcoin or fiat.

[Nrcewker]

Yes, I also agree that, people need to seriously treat Bitcoins as digital asset. Spending Bitcoins unnecessarily is not at all good for them. They are giving away these high valued coins without any second thought. This proves that the guy who is living in rent don’t have any good knowledge about Bitcoins or don’t know the value and capabilities of it. Nevertheless, we can’t do anything if he has declared him fool infront of everyone.